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Credit Suisse's Thiam bullish on economy as regions grow in sync

Tue, Nov 28, 2017 - 6:15 PM

[ZURICH] Credit Suisse Group AG Chief Executive Officer Tidjane Thiam said he's very optimistic about the global economy as the US, Asia and Europe grow in lockstep.

"We are very positive about the world economy" including Europe, "which is new," Mr Thiam said Tuesday in an interview on Bloomberg TV. "For once, we have the three major economic zones doing well at the same time." Credit Suisse is two years through a three-year overhaul aimed at reducing reliance on volatile trading in favor of wealth management and emerging markets. Mr Thiam, who is scheduled to update investors Thursday on his strategy, has cut thousands of jobs, sold off risky legacy assets, and raised more than US$10.2 billion from two share sales since announcing his plan in 2015.

Challenges remain, including a surprise multi-nation tax probe and the attack of an activist investor pushing for a break-up of the bank. The activist, Rudolf Bohli, has so far struggled to gain traction as key Credit Suisse shareholders signaled support for Mr Thiam.

Credit Suisse shares rose 15 per cent this year through Monday. They're still down about 31 per cent since Mr Thiam first announced his overhaul plan.